XML 26 R16.htm IDEA: XBRL DOCUMENT v3.25.1
Note 8 - Debt
 9 Months Ended
Mar. 31, 2025
Notes to Financial Statements  
Debt Disclosure [Text Block]

8)     Debt

 

Long-term debt is comprised of the following (in thousands):

 

  

March 31, 2025

  

June 30, 2024

 

Bank credit agreements

 $580,203  $150,000 

Total funded debt

  580,203   150,000 

Issuance cost

  (797)  (1,124)

Total long-term debt

 $579,406  $148,876 

  

Bank Credit Agreements

 

During the third quarter of fiscal year 2023, the Company entered into a Third Amended & Restated Credit Agreement which renewed the existing Credit Agreement for an additional five-year period (“Credit Facility”, or “Facility”). The Facility has a borrowing limit of $500 million, which can be increased by an amount of up to $250 million, in accordance with specified conditions contained in the agreement. The Facility also includes a $10 million sublimit for swing line loans and a $35 million sublimit for letters of credit.

During the second quarter of fiscal year 2025, the Company entered into a $250 million 364-day term loan with existing lenders. Also during the period, the Company converted the 364-day term loan into an exercise of the accordion feature under its existing credit facilities. In connection with the conversion of the loan, the Company entered into a Second Amendment to Third Amended and Restated Credit Agreement. This amendment expanded the total available credit under the Revolving Credit Agreement from $500 million to $825 million.

 

At March 31, 2025, the Company had standby letters of credit outstanding, primarily for insurance purposes, of $2.1 million and had the ability to borrow $169.1 million under the facility. Funds borrowed under the Facility  may be used for the repayment of debt, working capital, capital expenditures, acquisitions (so long as certain conditions, including a specified funded debt to EBITDA leverage ratio, are maintained), and other general corporate purposes.  The Facility contains customary representations, warranties and restrictive covenants, as well as specific financial covenants which the Company was compliant with as of  March 31, 2025.  At March 31, 2025, the carrying value of the current borrowings approximates fair value.